Peaq, a leader in Machine Economy technology, and Pulsar Group, an Emirati venture studio, have announced the creation of the world’s first Machine Economy Free Zone (MEFZ) in Abu Dhabi and Dubai. This groundbreaking initiative aims to establish a foundation for the Machine Economy in the United Arab Emirates (UAE) by focusing on regulatory and investment frameworks, the deployment of robots (referred to as Physical AI), and the development of necessary infrastructure.

Credit: ZAWYA

The MEFZ will serve as a sandbox environment designed for a human-centric Machine Economy envisioned by peaq, where humans and machines can coexist and create value together. The initiative emphasizes four core pillars: regulation, deployment, investment, and an innovation hub. Peaq will collaborate with Emirati partners to set up both physical and virtual sandboxes for founders to test new business models and technologies that can enhance smart cities.

Among the first trials in the MEFZ will be a framework for Machine Tokenization, aimed at lowering investment barriers for individuals interested in robots and machines. Additionally, the MEFZ will pilot the concept of Universal Basic Ownership (UBO), which proposes an income stream directly linked to profits generated by machines, thereby distributing wealth without intermediaries. This pilot seeks to explore how automation’s benefits can reach communities impacted by job loss.

Peaq emphasizes its commitment to making the UAE a central hub for its operations, with plans to establish a new headquarters in the region. The MEFZ sets the stage for a broader Machine Economy in the UAE, enhancing the nation’s smart city initiatives and blockchain innovation through community-driven applications and networks.

The Machine Economy is emerging as a significant reality, propelled by advancements in AI and robotics. Peaq believes that without the principles of Web3, the benefits of this transformation could be monopolized by a small number of companies. Peaq envisions a future where communities can co-own and benefit from the machines that are increasingly integral to everyday life.

These initiatives are part of a broader strategy to create an environment conducive to innovation and rapid growth for founders in the region. The announcement follows the recent Machine Economy Days held in Abu Dhabi and Dubai, where various applications built on peaq were showcased to a distinguished audience, including representatives from the Ministry of Economy and other influential organizations.

Alyazi Al Khattal, CEO of Pulsar, expressed pride in being part of this transformative journey, stating that peaq is redefining possibilities for the future of the Machine Economy. Till Wendler, co-founder of peaq, remarked that the Machine Economy is quickly becoming a reality, positioning the Emirates as a prime location to pilot this vision for the global community.

Peaq is dedicated to providing the infrastructure and financial systems necessary to support a human-centric Machine Economy, empowering individuals to own and profit from the machines and devices they use. The network already hosts over 60 applications across various industries, fostering an inclusive economy in the Age of Abundance.

For more information about Peaq and Pulsar, visit their respective websites.